Australia's Only Online Platform For Trading Invoices Confidentially Is On Track To Hit $20m This Year

Hobart – 15th June 2015 – InvoiceX (IX), a new entrant to marketplace lending, has been set up to offer firms short-term finance by allowing them to trade outstanding invoices confidentially to investors. It is on target to finance over $20 million in invoices for Australian companies this year. Dermot Crean, co-founder of IX, has focused on financing growth companies for over 30 years, having worked as a chartered accountant with Pricewaterhouse in London, held senior positions with HSBC and NatWest across Europe and having co-founded and built a successful private equity advisory firm in London over 10 years. On moving to Australia in 2011 with his family, he began to realise that local banks were not set up to use their balance sheets to help growing companies.

Coupling his experience with Steve Yannarakis’ 25 years in Australian investment, Crean said: ‘There are over 2 million small-medium sized businesses in Australia, and yet funding and cash flow continue to be the biggest hurdles for SMEs and InvoiceX is able to fill this gap in the market. Our product has a high degree of automation to make it possible commercially.’

‘Over the last two years that we have been developing IX, we've spoken to many business owners that use invoice finance. Standards vary a great deal and businesses are being locked into long contracts with hidden fees that they’re not expecting,’ said Yannarakis.

InvoiceX is very different to factoring, the main short-term source of working capital finance. Companies can confidentially trade invoices online to investors on their terms when required. With no set-up fees, lock-ins or costly contracts, InvoiceX provides a solution to late payments, with a form of alternative online invoice discounting where you pay as you go.

The total debtor financing market in Australia is worth $62.9 billion according to recent statistics released by the Debtor & Invoice Finance Association for companies using cashflow/invoice financing.

Having started slowly to make sure the platform was working well, volumes are now building. A deep pool of capital is also building with the involvement of experienced investors on the platform.

Co-founder, Crean continues: "We have yet to turn down an application. If a small-medium sized company has blue-chip customers – large corporates or government entities – and annual revenue of $3–100m, their application is likely to be approved by our platform. It is easy to screen potential customers before they fill in their application form to avoid wasting time– they should know themselves whether they are likely to be accepted."

"No matter how good a business it is, without collecting cash for your work done, you can't take on any more business. Growing slowly is the only option, which is not good for Australia right now,” concluded Crean.


For further information please contact:

Katie Olver PR – InvoiceX